Chair Denise Ducheny suggested that the Governor's proposal to shift recycling costs ("processing fees") from manufacturers to consumers is outside the purview of the current special session during today's Senate Budget Committee hearing.
At the hearing, representatives from the Schwarzenegger administration and the Department of Conservation outlined their plan to shift processing fees to consumers beginning 2014 and their intention to begin an immediate partial repayment of funds loaned to the General Fund from the Bottle Bill.
The Legislative Analyst's Office recommended the legislature block the partial loan repayment. However, committee member Senator Padilla and others pointed out that the State is being sued over the loaned funds and the courts could require the funds to be paid back soon. Representatives from the Schwarzenegger administration and the DOC stated they were obligated by law to repay the funds.
Californians Against Waste supported the CRV acceleration aspect of the Governor's proposal (which was in SB 402), but agreed with the Chair that the processing fee and other policy change aspects of the Governor's proposal should not be decided by the Budget Committee.